April 29, 2009

Philippine feed millers want the government to extend tariff-free wheat imports for until end-2009.

In December, the government removed the 7 percent tariff on imported feed wheat for a period of six months, a move the Philippine Association of Feed Millers Inc. requested be extended another six months in a letter Monday addressed to Agriculture Secretary Arthur Yap.

"Lower importation costs help reduce the price of feed ingredients and consequently the price of meat and poultry products," association President Norman Ramos said in the letter reviewed by Dow Jones Newswires Tuesday.

Feed millers have purchased around 800,000 tonnes of feed wheat since December, mostly from the Ukraine, industry officials said recently.

Imports could exceed 1 million tonnes this year as local corn supply is likely to tighten around mid-year, they said.

Wheat and corn substitute each other as a major component of livestock and poultry feeds.